Feedback   New User   Login      
Tax Management India. Com TMI - Tax Management India. Com
Acts / Rules Notifications Circulars Tariff/ ITC HSN Forms Case Laws Manuals Short Notes Articles SMS News Highlights
        Home        
Extracts
Home List
← Previous Next →

Bhima Sahakari Karkhana Ltd Versus CCE, Pune-III

2015 (10) TMI 627 - CESTAT MUMBAI

Demand of Service Tax – GTA service - reverse charge - appellant has been taking a stand that the amounts paid by them as inward freight was paid to owners of individual trucks and not to Goods Transport Agency – Held That:- there will be no Service Tax liability on the appellant sugarcane mills, as they have not received the service from a Goods Transport Agency. - Contention of the Appellant is not controverted by Revenue in any way - Impugned order is unsustainable and is set aside –Decision .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ts that arise for consideration are during scrutiny of appellant's records by the department officers for the financial year 2004-05 and 2005-06, it was noticed that appellant had paid inward freight. Revenue authorities entertained a belief that from 01.01.2005 as per Notification no. 35/2004-S.T. the consignee or the consignor covered under any of the seven categories mentioned in notification was required to discharge service tax under the category of Goods Transportation Agency; appellan .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

-original. 4. Learned Advocate brings to our notice that the appellant has been taking a stand that they being a sugar manufacturing co-operative Unit, amounts paid by them are for combined expenses of harvesting, loading and transportation of sugarcane to the sugar factory and the entire charges are reflected as harvesting and transport charges. Accordingly, service tax liability could not arise on them. It is also his submission that the transportation charges which are paid by the appellant a .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ir payment towards harvesting, bullock cart charges and transportation (inward freight) being paid to the farmers; having admitted that the appellant being a sugar factory is covered under the reverse charge mechanism Notification 35/2004-S.T. and is accordingly required to discharge the service tax liability. 6. On consideration of the submissions made by both sides and perusal of the records, we find that the issue involved in this case is regarding service tax liability on an amount paid duri .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

and not to Goods Transport Agency. It is seen from the records this stand of the appellant is not controverted by revenue in any way as also the stand that no consignment note is issue by truck owners. We agree to the submission made by the learned Counsel that the issue is now squarely covered by the recent judgement of the Tribunal in the case of Nandganj Sihori Sugar Co. Ltd. (supra). We respectfully reproduce the relevant paragraph: 6. In terms of Section 65(105)(zzp), the taxable service m .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

been demanded from the Appellants as service recipient under Rule 2(l)(d)(v) of the Service Tax Act, 1994 read with Notification No. 35/2004-S.T., dated 3-12-2004, on the payments made by them to transporters against the fortnightly bills being presented by them. While admittedly no consignment notes or GRs have been issued by the transports, according to the Department the Transporter's bills are in the nature of the consignment notes. Under Rule 4B of the Service Tax Rules, 1994, any Goods .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

details of goods transported, details of the place of origin and destination, person liable for paying Service Tax whether consignor, consignee or Goods Transport Agency. Thus mere transportation of the goods in a Motor Vehicle is not the service provided by a Goods Transport Agency. A Goods Transport Agency in terms of its definition under Section 65(50b) provides service in relation to transportation of goods under a consignment note which should have the particulars as prescribed in explanat .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

Discussion Forum
what is new what is new
 


Share:            

|| Home || About us || Feedback || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version